For over 15 years, Ovato has worked closely with one of Australia’s leading retailers, distributing its popular print catalogue.
With more Australians choosing to rent in the current housing market, the retailer had identified a growing audience that was less likely to shop for homewares and DIY materials.
Coupled with an increase in apartment-style living, with smaller homes and no backyard, this presented a significant challenge.
The retailer turned to Ovato for a data-driven strategy to reach and engage with this demographic.
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We suggested the idea of creating a ‘rental catalogue’, distributed to areas with high percentages of renters, to see if this tailored content resonated with the audience segment it had struggled to capture in the past.
Dubbed ‘The Renter’s Edition’, the catalogue was designed with articles and creative relevant to renters, with a stronger focus on décor and home living.
We used data from the Australian Bureau of Statistics, supplied by our exclusive data partner Quantium, to select regions with high numbers of renters. After identifying two regions, the areas were split, so half the residents received the usual catalogue, while the other half received the new renter’s edition.
This allowed us to test the response and generate insights about the performance of the new catalogue. We compared the results to a similar audience based on the percentage of renters and prior spending behaviour with the retailer.
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The new catalogue approach attracted the attention of renters, a demographic the brand had struggled to capture for years, resulting in a 6.52% increase in overall sales from customers that received the rental-themed catalogue during the campaign period.
Not only did the campaign increase the number of customers, but the new approach resulted in those customers spending more money with the brand, proof that the catalogue is striking a chord with potential shoppers. Due to the strong campaign results, the retailer is in discussion with Ovato about implementing similar strategies that will increase spend further.
Results achieved by testing the response from one group that received the Core Catalogue compared to another group which received a Rental Catalogue.
Sales for the rental catalogue audience vs control was roughly equal the week the catalogue was delivered.
However, more customers from the rental catalogue audience were driven to purchase in weeks two and three of the campaign.
